Lowest Premium Gold Coins | How to Buy Cheap Gold Bullion
At a Glance:
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- Gold coins are generally sold at higher premiums over spot price than gold bars.
- The lowest premium gold coins are backdated Krugerrands and random condition gold coins.
- On this page: learn how to compare prices and identify the most affordable gold coins.
Lowest Premium Gold Coins | How to Buy Cheap Gold Coins
Gold prices in 2024 are higher than ever before. Low premium gold coins can help investors save money while building a valuable precious metals portfolio. For investors who are willing to do the research, low premium gold coins are not difficult to find.
Two of the best low premium gold coins on the market include:
- Any Mint, Any Condition Gold Coins
- Random Year Gold Krugerrand Coins
Both of these options can help investors save hundreds of dollars on precious metal premiums. By compromising on condition and year, investors are able to stack high quality gold coins without overpaying on gold premiums.
Lowest Premium Gold Coins – June 2024
What gold coins are sold at the lowest premiums over spot price? Two of the lowest premium gold coins on the market in June 2024 include “Any Mint, Any Condition” gold coins and “Random Year” Gold Krugerrand Coins. These two gold coins are sold based on the inventory your dealer currently has in stock, so they can come from any year and be in nearly any condition.
Saving money on gold coin premiums is one of the most important things investors can do to maximize their profits. When you pay a premium over spot price, you are really paying more money for the same amount of gold. While most investors recoup a large percentage of the premium they paid for a gold coin on resale, it’s never a bad thing to cut down on the premiums you pay for precious metals.
Any Mint, Any Condition Gold Coins
“Any Mint, Any Condition” (AMAC) Gold Coins refer to gold bullion coins that are sold in a random condition and from a random mint. Usually, AMAC gold coins are sold depending on the current inventory of your dealer.
Random condition gold coins are some of the lowest premium gold coins available. Dealers usually cut premiums on these gold coins in order to liquidate their stock of outdated products. Sometimes, coins sold in random condition are considerably cheaper than modern, brilliant uncirculated (BU) gold coins. In other words, premiums tend to be lower for random year and random condition gold coins than for other coins with a set year and grade.
Random Year Gold Krugerrands
Gold Krugerrands can also be some of the lowest premium gold coins on the market – if you know where to look. Generally, the newest Gold Krugerrand coin is sold at a higher premium than older coins from the series. Some dealers sell “Random Year” Gold Krugerrands. Like AMAC Gold Coins, this product is generally sold based on the current inventory of your dealer.
Older Gold Krugerrand Coins are some of the lowest premium gold coins on the market. Be sure to avoid purchasing exceptionally old or key date Gold Krugerrands, as these coins can often be more expensive than the modern release of the South African gold coin.
Gold Coin Premiums Explained
What are gold coin premiums? Gold coin premiums are small percentage fees added to the total cost of a gold coin. All gold coins are sold at a premium, and gold premiums are usually higher for gold coins than gold bars. To find the total cost of a gold coin, you’ll need to add that product’s premium to its melt value.
Melt value refers to the value of the gold that a coin or bar contains. Every gold product is worth at least its gold melt value, but gold coins and bars are also sold with an additional fee over this value called a premium.
What is a Gold Premium?
All precious metal products are sold at something called a premium. Premiums are small fees added onto the melt value of a gold coin or gold bar. Gold premiums vary based on demand, product condition, and the dealer who you choose to buy your gold from.
How to Buy Gold at Spot Price
Is it possible to buy gold at spot price? It is not possible to buy gold at spot price, but certain gold products are sold at a price close to their melt value. Generally, the cheapest way to buy gold is to invest in gold bars. Gold bars offer a lower premium over spot price compared to gold coins.
It is also possible to find low premium gold coins. Coins from older dates and in poor condition are some of the lowest premium gold coins on the market. We recommend Any Mint, Any Condition (AMAC) Gold Coins and backdated Gold Krugerrands as two great options for investors who want to save money on gold coin premiums.
A low premium gold coin is not the same thing as a cheap gold coin. Gold is always expensive – especially right now. Premiums tend to decrease as the size of a gold investment increases, so you will save more money on premiums when you purchase large gold bullion coins.
The cheapest gold coins also come with the highest premiums over spot price. For investors working with a limited budget, fractional gold coins and pre-1933 gold coins are two excellent choices.
Cheapest Gold Coins For Investing
We have already covered some of the lowest premium gold coins, but finding the cheapest gold coins in 2024 is a different task entirely. You receive the best deal on premiums when you invest in large gold coins, but smaller gold coins are cheaper when it comes to total cost.
What are the cheapest gold coins to buy? Fractional gold coins and pre-1933 U.S. gold coins are the cheapest gold coins available to investors.
Fractional Gold Coins
Fractional gold refers to gold coins that weigh less than one ounce. Fractional gold coins are sold at high premiums over spot price, but they are also cheaper to purchase than 1 oz gold coins. If you are an investor working with a small budget, fractional gold coins can help you save money while stacking valuable gold bullion.
To cut down on premiums while buying fractional gold, look for coins in less-than-perfect condition. Fractional gold coins from random years and in varied conditions can help investors save considerable money on premiums over spot price.
Pre-1933 Gold Coins
Before 1933, certain circulation U.S. coins contained real gold. Today, we call these coins pre-1933 gold coins. Pre-1933 gold coins are one of the cheapest ways to buy gold, since most of these coins are kept in varied condition and contain only a fraction of the gold you will find in modern U.S. Mint gold coins.
Most pre-1933 gold coins contain less than 1 oz of pure gold, and they are typically not kept in pristine condition. Compared to modern gold bullion coins of the same weight, these coins can offer investors considerable savings. Remember, though, that you’ll likely pay a higher premium on pre-1933 gold coins compared to modern bullion coins.
How to Find the Lowest Premium Gold Coins
Finding low premium gold coins has never been easier. In 2024, online resources and price comparison guides can help investors save money while buying high quality gold coins from around the world. How do you find the lowest premium gold coins? To source low premium gold coins, investors should compare gold coin prices across multiple dealers and consider buying off-year gold coins.
Comparing Gold Coin Prices
The best thing any gold coin investor can do to save money is to compare prices across multiple dealers. Several online resources make it easy for collectors to source high quality gold coins at a discounted price. We recommend relying on more than one online gold coin pricing guide. Some websites only compare prices from certain dealers, so getting a second opinion is always a good bet.
Gold coin premiums vary from dealer to dealer, so shopping around for the best deal can help you save hundreds of dollars. The lowest premium gold coins on the market are usually off-year, but the price of a random year gold coin can vary depending on the dealer you choose to do business with.
Buying Off-Year Gold Coins
Another way to find low premium gold is to consider off-year gold coins. Off-year gold coins refer to coins that are minted in a year earlier than 2024. These coins are usually sold at a fraction of the premium tacked onto modern gold coins from the most recent year.
Off-year gold coins are also often called backdate or off-year coins, and they can be an excellent choice for investors who want the lowest premium gold coins possible. What is the lowest premium gold coin money can buy? The lowest premium gold coins are generally off-year coins in less-than-perfect condition.
Is Low Premium Gold a Good Investment?
Buying the lowest premium gold coins can be a good strategy for investors who want to maximize profits, but it isn’t the best bet for everyone. The gold coins with the lowest premiums over spot price are typically imperfect and dated. While this means you will save money when you buy these coins, you also won’t get the numismatic value associated with coins in excellent condition and from a key date.
We typically draw a distinction between gold investors and gold coin collectors. Investors usually prefer to stack as much gold as possible for their money, but gold coin collectors care about the condition and numismatic value of their coins. If your goal is to maximize the amount of gold you receive for your cash, then investing in backdated, random condition gold coins is a realistic way to achieve this objective.
If you are an investor who cares more about the appearance and condition of your gold coins, random year coins might not be the right choice for your portfolio. As a general rule, low premium gold coins are a good investment for stackers who want to save money while buying genuine gold.
How to Invest in Gold Coins on a Budget
Investors have two main options when it comes to saving money on their gold coins.
The cheapest way to invest in gold is to target fractional and pre-1933 circulation gold coins. These two products cost considerably less than new gold coins in perfect condition. Compared to modern gold coins, pre-1933 and fractional gold coins are significantly cheaper where total cost is concerned.
Investors need to consider another, lesser-known fee when buying gold coins: premiums. Premiums for gold coins are some of the highest in the entire gold industry, and cutting down on premiums can help investors maximize their profits while still scoring high quality gold bullion products.
The lowest premium gold coins on the market are off-year Gold Krugerrands and coins sold in random condition and from random years. Both of these options can help investors save money on premiums and maximize long-term profits of their investment portfolio.
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About The Author
Michael Roets
Michael Roets is a writer and journalist for Hero Bullion. His work explores precious metals news, guides, and commentary.